By Alasdair Macleod
Thursday, September 29, 2022
Following the new Kwarteng/Truss economic policies revealed in last week’s mini budget for the United Kingdom, the widespread condemnation is a reflex Keynesian response from a world that has become hostage to erroneous economic and monetary groupthink in its major institutions.
Kwarteng has jogged the global statist establishment out of its complacent drift into totalitarianism. His is a wake-up call to markets everywhere, a catalyst for the unwinding of accumulated market distortions. Mounting criticism from all quarters is shooting the messenger, but the message has been delivered.
... Dispatch continues below ...
... ADVERTISEMENT ...
First Majestic Produces Silver and Gold in the United States and Mexico
First Majestic is a publicly traded mining company focused on silver and gold production in Mexico and the United States. The company owns and operates the San Dimas silver and gold mine, the Jerritt Canyon gold mine, the Santa Elena silver and gold mine, and the La Encantada silver mine. In 2022 these mines are projected to produce between 32.2 to 35.8 million ounces of silver equivalent with an all-in sustaining cost of $16.79 to $18.06 per payable silver-equivalent ounce.
For more information about the company, visit:
The company offers a portion of its silver production for sale to the public. Bars, ingots, coins, and medallions are available for purchase online at First Majestic's bullion store at some of the lowest possible premiums:
In one important respect, the criticism is valid. Kwarteng must address the budget deficit urgently by taking steps to reduce the size of the state as a proportion of the total economy. Only then can inflation be conquered and the pound stabilise. In another respect, the new policy is sensible: By plotting its own free market/Hayekian course, Britain can emerge out of the crisis sooner than other nations stuck in the current democratic-socialist paradigm.
If we assume that Kwarteng does address the size of the state and eliminate budget deficits as early as practically possible, he will have a practical plan for a post-crisis Britain. Economic recovery can than happen sooner rather than later, a major consideration given that the next general election is in a little over two years.
It is too late to avoid the gathering global crisis, the financial consequences of which are bound to devolve in large measure on London's financial centre. Indeed, Kwarteng's wake-up call may be the trigger for a financial avalanche. But what he is unlikely to realise is that the gathering crisis is so severe that even the continued existence of fiat currencies will be threatened, with the euro and sterling being particularly vulnerable.
In this article I also comment on the Bank of England's failure as an institution, whose future role in monetary affairs should be strictly curtailed. And I advocate the abandonment of all trade tariffs, with the possible exception of agriculture for political reasons. These are fundamental reforms which must accompany free market policies.
We must proceed with our commentary ignoring the existential threat to currencies if it is to be relevant to the government’s economic policies and their global impact. ...
... For the remainder of the analysis:
* * *
Join GATA here:
New Orleans Investment Conference
Wednesday-Saturday, October 12-15, 2022
Hilton New Orleans Riverside Hotel
New Orleans, Louisiana
* * *
Toast to a free gold market
with great GATA-label wine
Wine carrying the label of the Gold Anti-Trust Action Committee, cases of which were awarded to three lucky donors in GATA's recent fundraising campaign, are now available for purchase by the case from Fay J Winery LLC in Texarkana, Texas. Each case has 12 bottles and the cost is $240, which includes shipping via Federal Express.
Here's what the bottles look like:
Buyers can compose their case by choosing as many as four varietals from the list here:
GATA will receive a commission on each case of GATA-label wine sold. So if you like wine and buy it anyway, why not buy it in a way that supports our work to achieve free and transparent markets in the monetary metals?
To order a case of GATA-label wine, please e-mail Fay J Winery at email@example.com.
* * *
Support GATA by purchasing
Stuart Englert's "Rigged"
"Rigged" is a concise explanation of government's currency market rigging policy and extensively credits GATA's work exposing it. Ten percent of sales proceeds are contributed to GATA. Buy a copy for $14.99 through Amazon --
-- or for an additional $3 and a penny buy an autographed copy from Englert himself by contacting him at firstname.lastname@example.org.
* * *
Help keep GATA going:
GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at:
To contribute to GATA, please visit: